Data licensing terms, in plain English
Every word a buyer will use on the first call, defined the way an owner would say it. If a term is not here, ask and we will add it.
- Data license
- Permission to use a copy of records under agreed terms, for a fee, while the owner keeps the originals. The structure every buyer in this market uses.
- Non-exclusive license
- A license that leaves the owner free to license the same records to others. Can be repeated. The default in this market.
- Exclusive license
- A license where the buyer is the only one allowed to use the records, for a term or forever. Pays roughly 4 to 5 times more, per one platform's published multiple, and ends the asset.
- De-identification
- Removing or replacing anything that identifies a person: names, emails, phone numbers, account numbers, addresses. Done by the buyer before any use. Healthcare has a defined HIPAA standard for it.
- Tokenization
- Replacing a name or identifier with a consistent placeholder (Customer 4471) so the record still makes sense without revealing who it was.
- Scrubbing
- The everyday word for de-identification plus removal of secrets, card data, health data and anything the owner excluded.
- Operating data
- Records of how a company does its work: tickets, jobs, files, pipelines, closes, code, messages. The asset buyers pay for. Not the customer list.
- Linked work trail
- A piece of work recorded across several systems: the ticket, the chat thread, the code change, the invoice. Buyers pay more for the chain than for its parts.
- Training environment
- A rebuilt replica of a company's systems and records where an AI model practices doing the job. Some buyers call them gyms; others call them digital twins.
- RL environment
- Reinforcement learning environment. The technical name for a training environment: the model acts, is scored, and improves.
- Rights-cleared
- Records the owner has confirmed it may license: owned outright, not restricted by customer contracts, with contractor work assigned. Buyers price unclear rights at zero.
- IP assignment
- A signed agreement in which a contractor or employee transfers ownership of their work to the company. Missing assignments are the most common reason a code deal stalls.
- MSA
- Master service agreement. The main contract with a customer. The place to look for clauses that restrict secondary use of data.
- DPA
- Data processing agreement. An add-on to a customer contract that governs how customer data is handled. Often forbids secondary use; records under one are excluded.
- Secondary use
- Using data for something other than the purpose it was collected for. Licensing for AI training is a secondary use, which is why contracts and privacy law matter.
- PII
- Personally identifiable information. Names, emails, phone numbers, addresses, ID numbers. Removed before any use.
- PHI
- Protected health information under HIPAA. Excluded entirely from this market; only administrative process data is licensed, and slowly.
- NPI
- Nonpublic personal information under GLBA, the law covering lenders. Borrower identifiers are removed before anything is shared.
- Privilege
- Attorney-client privilege. Communications that a court cannot compel. Excluded or handled under a written protocol in any law-firm deal.
- Provenance
- The documented origin of a dataset: who created it, who owned it, how rights were cleared. Buyers require it; it is what makes licensed data worth more than scraped data.
- Referral fee
- What a buyer pays the person who introduced a company that signs. Paid by the buyer, never by the owner, and never deducted from the owner's offer.
- First introduction
- Several buyers credit only the first person to introduce a company. Later introductions are void. The reason speed matters.
- Tracked link
- One enterprise buyer credits a referral only if the company applies through the referrer's unique link. No credit after the fact.
- Success fee
- A fee taken from the proceeds of a sale. One buyer built for small operators charges 15% to 40% of the sale for doing the whole job; no sale, no fee. The enterprise buyers do not charge the owner anything.
- Data acceptance
- The point at which a buyer has reviewed the exported records and confirmed they meet the agreement. Several buyers pay at acceptance.
- Mirror clone
- A full copy of a code repository including every branch, tag and commit. The export buyers want. A snapshot without history is close to worthless.
- Snapshot
- A copy of code or files at one moment, without history. Low value.
- Retention policy
- A setting that deletes old messages or records automatically. Pause it; years of history are the asset.
- Data broker
- A legal term in California, Vermont, Texas and Oregon for a business that sells personal information about people it has no direct relationship with. Requires registration. Licensing your own de-identified operating records is not data brokering, and neither is introducing companies to buyers.
- Compounding loop
- One enterprise buyer's phrase for recurring data partnerships: the company is paid again as it produces new records.
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